breaking news

Springfield student arrested after Facebook threat: 4 things to know

Navistar to redesign trucks, begin UAW talks in Springfield in 2018


Navistar has several big ticket items planned in 2018, including a redesign of all of its truck, a new labor contract in Springfield and production starting here on a new GM truck.

Annual reports and documents filed recently by Navistar show the truckmaker gained market share last year and company leaders are optimistic for a strong 2018, although the Illinois-based company faces challenges that include a competitive U.S truck market and other risks.

RELATED: Navistar reports $37M profit after stronger truck sales

Navistar is a major employer in Clark County, with more than 1,800 workers at its Springfield manufacturing plant and thousands of retirees living in the area. The manufacturer reported a $30 million profit in 2017 — its first annual profit in six years — after weathering turmoil that included top management changes, legal struggles, a recession and a failed engine technology.

The company’s latest annual report says Navistar gained market share in a competitive truck market last year, and is poised for a strong year as demand picks up in the heavy and medium-duty truck markets. Troy Clarke, Navistar’s CEO, cited 2017 as a breakthrough year for the company, which he said achieved its largest single-year market share gain in the last eight years.

MORE: Navistar, local leaders push others to buy trucks made in Springfield

Navistar saw growth in every truck segment last year, Clarke said in the company’s annual report, and added new vehicles, like an electric school bus that will go on sale in 2019.

“We expanded our success with large fleets, more than doubling the number of customers placing orders of more than 500 vehicles,” he said.

In it annual report, Navistar also reported several risk factors that could affect it in 2018, including a highly competitive truck market worldwide and debt.

“Many of our competitors have greater financial resources, which may place us at a competitive disadvantage in responding to substantial industry changes, such as changes in governmental regulations that require major additional capital expenditures,” Navistar’s annual report says. “In addition, certain of our competitors may have a lower overall cost structure.”

The annual report also highlighted other accomplishments last year, including finalizing a strategic alliance with Volkswagen Truck and Bus. 

It also refreshed its vehicle lineup and will continue to announce a new or redesigned product every four to six months through the end of this year, the report says. By the end of 2018, Navistar’s entire portfolio will consist of newly designed trucks.

MORE BUSINESS NEWS: Navistar stock jumps nearly 400 percent, VW deal cited as key

In Springfield, officials from the UAW Local 402, which represents the majority of workers here, said Navistar’s contract with the UAW, reached in 2015, is set to expire in early October. That means negotiations will ramp up later this year.

Local leaders have described the latest contract as a sign of an improving relationship between Navistar and the UAW.

Investments at Navistar since the last contract have led to a boost in hiring and other improvements in the Springfield economy, said Michael McDorman, president and CEO of the Chamber of Greater Springfield.

DETAILS: Navistar, Volkswagen team up to build electric truck

“The company is in a much better position today than they were four years ago,” McDorman said.

Workers in Springfield will also begin building a new medium-duty truck later this year as part of a joint agreement with GM. The all-new Silverado Class 4 and 5 chassis cab trucks will be unveiled at the Work Truck Show, which is scheduled for March 6 to 9. The truck is expected to go into production in Springfield in late 2018, according to information from GM.

“Heavy truck orders continue to increase and the new GM product will launch this year,” said Jason Barlow, president of the UAW Local 402 in Springfield.



Reader Comments ...


Next Up in Business

Financial experts say you should do these things with your tax refund
Financial experts say you should do these things with your tax refund

‘Tis the season for taxpayers to get a nice chunk of change back from the IRS. It’s tempting to spend it all, but financial experts say there are steps you should take to shore up your financial future.  Some who usually pay off debt will splurge this year. “I’m going to Japan in April so I’m actually going to add...
Target launches new home decor brand
Target launches new home decor brand

Target has released a new home decor brand that features dozens of bold colors, prints and textures. The chain’s newest home brand, Opalhouse, has more than 1,300 pieces of furniture for the home. The brand includes bedding, bath, décor, tabletop and furniture. Most pieces are priced under $30. Target has launched several new brands in...
Home Depot hiring for more than 200 jobs in Dayton region
Home Depot hiring for more than 200 jobs in Dayton region

The Home Depot is hiring 225 associates in Dayton and 80,000 associates nationwide. Interested applicants can apply online at careers.homedepot.com, or job seekers can text HOMEDEPOT to 52270 and receive a link to apply to hourly positions in their area. Available positions vary by store. » TRENDING NEWS: #NationalChiliDay: These are the top...
SVG invests $1M in former Eastgate property
SVG invests $1M in former Eastgate property

Rapidly growing auto dealer Steve VanGorder has bought land for an expanded dealership in Beavercreek. Greene County property records show that SVG Properties paid just over $1 million for property at 3415 Seajay Drive, the former home of Eastgate Ford. The purchase was of nearly 5.8 acres of land. SVG Motors has locations in Dayton at 400 Shoup Mill...
#NationalChiliDay: These are the top 10 chili cities in the U.S.
#NationalChiliDay: These are the top 10 chili cities in the U.S.

Where should you celebrate National Chili Day? Cincinnati, of course. A study by one of the world’s largest chili purveyors shows that residents of cities across the country love this classic comfort food as much or more than their Long Star State counterparts. The internal analysis, conducted by Wienerschnitzel in honor of National Chili Day...
More Stories